“People will get the money they deserve, while providers will want to work harder to improve their service.”

Ofcom have also pledged to “closely monitor” the new scheme, and will review it one year after it is introduced.

KCOM will join the scheme (Image: Jerome Ellerby)

Alex Neill, Which? managing director of home services, said: “We are pleased that compensation for poor broadband is going to become automatic, as it is now such an essential part of all of our everyday lives.